Cracker Barrel Old Country Store has appointed David Deno as its new chief executive officer. This decision marks a shift towards stabilizing operations after a challenging year of public criticism and falling sales. Deno, a veteran in the restaurant industry, previously served as the CEO of Bloomin’ Brands, the company behind Outback Steakhouse and Carrabba’s Italian Grill. He takes over from Julie Felss Masino on August 10, who will stay in an advisory role until October 9 to aid the transition.
Leadership Changes Amidst Challenges
The Southern-themed chain has faced turmoil over the past year. Issues ranged from high-profile cultural debates to financial struggles. Cracker Barrel’s performance has been under scrutiny, and the company did not comment when contacted by Newsweek.
Who Is David Deno?
Deno brings over 40 years of experience in the restaurant and retail sectors. Before leading Bloomin’ Brands from 2019 to 2024, he spent 15 years with Yum! Brands, holding roles such as chief financial officer and chief operating officer. His career began at Burger King, and he presently serves on the board of directors for Krispy Kreme and Panera Brands. Carl Berquist, independent chairman of Cracker Barrel’s board, highlighted Deno’s extensive industry experience and operational expertise.
Who Is Julie Felss Masino?
Masino became president and CEO of Cracker Barrel in July 2023. Prior to this, she led as president, international at Taco Bell and held positions at Fisher-Price, Sprinkles Cupcakes, and Starbucks. Her departure from the CEO role takes effect on August 10, with an advisory position retained until October.
Logo Change Controversy
During Masino’s tenure, Cracker Barrel announced a significant transformation plan, which sparked backlash. Part of the plan involved modernizing the corporate logo by removing “Uncle Herschel”—a move criticized by conservative commentators and political figures. Critics described the change as an attack on traditional Southern Americana. Reactions were intense, with former President Donald Trump urging a return to the old logo.
The backlash had immediate financial impacts. Cracker Barrel’s stock saw a steep drop, losing over 12% in one session and nearly $100 million in market value. Masino responded by reversing the logo decision and halting restaurant remodels. Analysts noted that the reversal led to wasted expenditures and the financial issues remained unresolved. Between 2019 and 2024, the company’s operating income dropped from $282.8 million to $45.1 million, with margins shrinking to 1.3%.
Logo changes have become contentious, often igniting culture wars as consumers interpret corporate strategies politically. Thomas Murphy, from Clark University’s School of Business, explained that rebranding typically follows shifts in consumer behavior or company direction. In Cracker Barrel’s case, they aimed to appeal to a younger audience less connected to the original brand.
Julie’s Reflections on Her Departure
While Cracker Barrel’s official statement on Masino’s departure was brief, board chairman Carl Berquist thanked her for her leadership. In a later interview, Masino candidly remarked that she felt “fired by America.” She acknowledged mistakes in the handling of the core branding and rejected claims of political intent behind modernization efforts, emphasizing the company’s focus on its menu offerings.